Litecoin (LTC) has made a significant surge, claiming the spot as the second best-performing cryptocurrency in the top 100. Over the past 7 days, Litecoin’s price experienced a 24% gain, rallying past the $100 level.
The recent surge in Litecoin can be attributed, in part, to a statement by the United States Commodity Futures Trading Commission (CFTC). In a lawsuit against crypto exchange KuCoin, the CFTC classified Litecoin as a commodity. This declaration is significant as it places Litecoin outside the jurisdiction of the Securities and Exchange Commission (SEC), which subjects coin issuers to stricter regulations regarding securities.
The complaint filed by the CFTC against KuCoin states, “KuCoin solicited and accepted orders, accepted property to margin, and operated a facility for the trading of futures, swaps, and leveraged, margined, or financed retail transactions involving digital assets that are commodities including Bitcoin (BTC), Ether (ETH), and Litecoin (LTC).”
This designation as a commodity opens doors for Litecoin, making it more likely to receive endorsements and integrations without fear of potential SEC enforcement actions. Currently, Litecoin is trading at $110.25, representing a 31.7% increase in the last 30 days. This surge marks the second-best performing day for LTC this year, second only to an 18.7% spike on March 11.